The Federal Government has announced December 20, 2025 as the final deadline to settle outstanding payments owed to contractors working on federal road projects, following mounting pressure from protests and claims of unpaid work across the country.
The pledge was made by the Minister of Works during the reopening of the newly completed Keffi Flyover in Nasarawa State. He disclosed that the backlog has been acknowledged at the highest level and that a special verification committee has been established to review and approve all outstanding claims before the deadline.
Contractors many under the umbrella of the All Indigenous Contractors Association of Nigeria had recently stormed the Ministry of Finance and other government offices, demanding payment for work completed in 2024 and 2025. Some even carried symbolic coffins to protest what they described as “the death of their businesses and the suffering of our labourers” due to long delays in payment.
They claim the federal government owes a staggering ₦4 trillion in total, with about ₦760 billion owed for work completed in 2024 alone. According to their figures, many of these debts have already been certified as complete but remain unpaid.
The Minister of Works stressed that the payment deadline is firm. In addition to clearing verified debts, he said the government is collaborating with anti-corruption agencies to audit ongoing and completed road projects aiming to ensure transparency, value for money, and prevent future payment backlogs.
If the government meets the December 20 deadline, thousands of contractors and their employees may be spared from continued financial hardship. The expected payments could not only save construction companies from bankruptcy but also restart several stalled infrastructure projects across the country.
However, contractors and industry watchers caution that the real test is in follow-through. They warn that any failure to meet the deadline risks reigniting protests, deepening distrust in contracting systems, and further destabilizing the construction sector.
